Hong Kong-based financial conglomerate ZA Global has spearheaded a $40 million Series A2 funding round for RD Technologies, a local stablecoin issuer.
RD Technologies is preparing to launch HKDR, a stablecoin that will be fully pegged to the Hong Kong dollar. This development aligns with the recent introduction of a stablecoin licensing framework by the Hong Kong Monetary Authority.
The investment from ZA Global paves the way for enhanced collaboration in regulated finance through its digital banking subsidiary, ZA Bank. The two entities have entered into a Memorandum of Understanding (MOU) that strengthens their existing partnership, initially formed last year for reserve banking services. This agreement allows ZA Bank to provide custody for HKDR and serve as a distribution hub for the new stablecoin.
Wayne Xu, president of ZA Global, highlighted the significance of this partnership: “As regulatory clarity and demand for compliant stablecoin solutions expand, our collaboration with RD Technologies represents a pivotal step in merging innovation with regulatory compliance. Together, we are fostering a secure and regulated digital finance ecosystem for Hong Kong and the broader region.”